thoughts?, page-4

Hi jen7575,

I have been a holder for a while now and have enjoyed watching the progress this company is making. I can't offer advice, however, happy to share why I hold and continue to hold this stock.

Firstly, the product they sell and the service they offer is close to the customer, they offer a complete service, they can produce the coal, source coal according to customer requirements via their trading arm and arrange delivery using their own transport (barges). The company states that demand for their product is "healthy", judging by the company growth rates: sales +205%, cash flow +221%, earnings +25.95, book value +53% (figures from Commsec) I have no reason to doubt that. Please take a look at the BGG website, lots of good info available.

From memory, before they upgraded the website, they had a group target of 10m tonnes, 5M production from local mines and 5M from their trading arm, they are well on their way to reaching this goal IMO and must admit their progress as of this latest ann has surprized me to the upside. Can't wait to see what they can do this year.

Once again using information from Commsec, the growth in the book value is interesting, 2010: 0.01, 2011: 0.09, 2012: 0.14, 2013: 0.21, sadly SP has not reflected this progress in this and other metrics, in fact I recall that management believe that the company is under valued in terms of its SP on the ASX, I tend to agree. With the Singapore listing and continued company success IMO we will at some time see a re-rate in the value of the company.

There are some impressive figures to look at when assessing this company and it's potential, my favourite is it's EPS: 5.7 cents per share, no comment required IMO.

That said, there are of course risk factors and some things that you should consider, management own a large % of the stock, country risk and so on.

I could go on, but I think I'll leave it at that and wish you happy investing.